The Algorand price is bouncing back today as investors cheer the platform’s ambition of becoming the greenest blockchain in the world. ALGO is trading at $1.0135, which is almost 24% above its lowest level on Tuesday. It has a market capitalization of more than $3.18 billion and is ranked as the 34th biggest blockchain network in the world.
What happened: Algorand, a leading blockchain network, has seen the ecosystem expand in the past few days. Indeed, several organizations have shifted to the network in the past few days. For example, MAPay, a global healthcare technology firm, decided to use Algorand to reduce cost in its Bermuda operations. Similarly, Exodus issued a security token on Algorand while Bnext launched a next-generation remittance service across Spain and Latin America.
Meanwhile, the developers have developed some features to make the network climate-change friendly. It does this using the pure proof of stake (PPoS) that does not involve mining at all. It has also partnered with ClimateTrade, a company that helps firms offset their carbon emissions.
The daily chart shows that the ALGO price has bounced back after falling sharply on Tuesday this week. The stock is still hovering at the 50% Fibonacci retracement level. Still, it remains relatively lower than the 25-day and 50-day moving averages (EMA). It also seems to be forming a bearish consolidation pattern.
Therefore, while it has moved above the neckline of the previous double-top pattern, there is a possibility that the coin will retreat in the near term. This will see it retest t$0.6723, which was the lowest level in May. A move above the 38.2% retracement level will invalidate this forecast.
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